March 13, 2009

Morning Wrap

Madoff Goes to Jail: This morning, Bernard Madoff, the financier behind the biggest Ponzi scheme in history, was led off to jail reports the New York Law Journal, via Law.com. Yesterday, during his allocution, Madoff said he was “so sorry and ashamed" of his crimes.

Layoff Alternative: To avoid layoffs, some law firms have started getting creative. While some firms have instituted salary freezes or pay cuts, London-based firm Norton Rose will implement a flexible working schedule reports Legal Week, via Law.com. Employees at the firm will work a four-day week and/or take a paid sabbatical of four to 12 weeks. The firm’s employees would earn 85 percent of their salary for a four-day week, while the sabbatical alternative would be paid out at 30 percent of base salary.

Cohen Withdraws From Treasury Consideration: Late last night, H. Rodgin Cohen, the chairman of the New York-based law firm Sullivan & Cromwell, pulled his name from consideration for deputy Treasury secretary. The Washington Post reports that Cohen withdrew his name after the White House found an issue during his vetting process. Cohen is the fourth pick for a top Treasury post to pull out in the last few weeks.